Urban Economics Assignment Essay

Brewing is a market-oriented industry, so it locates close to its consumers to economize on transport cost. B) Most wineries locate close to their input sources because wine production s a weight-losing activity and the grapes are costly to transport because of the spoilage. Firms in the materials-oriented industry locate close to input suppliers to economize on transport cost. Chapter 3 2 a) In an isolated site, the wage is variable and the firm’s workforce is fixed because the supply of labor perfectly inelastic. ) In a cluster, the wage is fixed and the firm’s workforce is variable because the supply of labor is perfectly elastic. Nefariousness’s’ Embroiderer’s’ 40 30 20 50 Embroiderer’s’ 60 Unforeseeable’ ) During good time, the benefit of being in the cluster as opposed to being isolated is $550, compute as c) During bad time, the benefit of being in the cluster as opposed to being isolated is $450, compute as d) The benefit exceeds the cost because a firm in a cluster changes its workforce when demand changes.

B:’Cluster’with’many’firm’ A:’lassitude’s’ $1 nefariousness’s’ 10′ embroiderer’s’ b) In the typical big city high demand, his profit is $135 computed as c) In the typical big city low demand, his profit is $15 computed as ) In the typical small city high demand, his profit is $60 computed as e) In the typical small city low demand, his profit is $60 computed as f) His expected profit is $75 in a big city, compared to $60 in a small city. 6 a) Somerville has 6 models, equally spaced on the color wheel at 1 2:00, 2:00, 4:00 and so on.

We will write a custom essay sample on
Urban Economics Assignment
specifically for you for only $13.9/page
Order now

There will be 2 firms in the city, with firm A @ 12:00 and the other firm b) The’ firm’ at’ 12:00′ hires’ models’ @ 10:00,’ 12:00′ and’ 2:00;’ the’ firm’ 8:00. ‘ 3′ 9’ 6 c) For the typical firm, the average mismatch is 4/3 skin tones and the average keep cost is $4 and the average net wage after makeup costs is $1 8 computed as $20-(4/3) d) Bigger will have 4 firms, and its average makeup costs will be lower and its average net wage will be higher. Of Hookers Skill Gap Makeup Cost Net Wage 4/3 $4 $16 12 2/3 $2 $18 # of firms Cars sold in cluster Cars sold per firm Profit per firm Profit gap 1 3 $3000 $0 2 18 9 $9000 $6000 36 $12000 b) If initially all dealers are isolated and the one joins another to form a two- dealer cluster, other firm will have an incentive to join the cluster because the second firm earns $6000 more in profit.

Choose Type of service

Choose writer quality

Page count

1 page 275 words

Deadline

Order Creative Sample Now

Haven’t Found A Paper?

Let us create the best one for you! What is your topic?

By clicking "SEND", you agree to our terms of service and privacy policy. We'll occasionally send you account related and promo emails.

Eric from Graduateway Hi there, would you like to get an essay? What is your topic? Let me help you

logo

Haven't found the Essay You Want?

Get your custom essay sample

For Only $13.90/page